Colorado Car Sales Practice Test 2026 - Free Car Sales Practice Questions and Study Guide

A "clean" title signifies that the vehicle has no liens or a salvage history. This means that the car is not currently used as collateral for a loan and has not been declared a total loss by an insurance company. A clean title indicates a clear ownership status, where the previous owner has paid off any loans associated with the vehicle, and there are no outstanding claims against it.

While a title that has been transferred multiple times without issues might suggest good standing, it does not guarantee the absence of liens or a salvage title. Similarly, while a vehicle’s accident history is important, a clean title does not specifically address accident status; it simply confirms there are no negative indicators in the title’s history. Lastly, while a guaranteed history from the manufacturer may provide reassurance about the car’s condition or maintenance, it does not pertain directly to the title's clarity or status. Thus, the most accurate definition of a "clean" title is that it shows no liens or salvage history.